"A Warning From Three Little Indians"

Hi Day Traders,

Thursday, May 18, was an interesting day.

The June S&P opened at 1456.20 and rallied to
58.50. I recommended buying 57.10 right after the
open. We were filled and it rallied to 60.00 so
I entered a stop at 56.70. We were stopped out but
that support held so I bought again at 57.50 and
covered at 61.40.

The market then rallied to 65.30, making a classic
3 little Indians pattern on the 1 minute chart.
I didn't take the sell, because I do not like to 
go against the trend except in rare cases, but
because of it, I was not looking to buy the pull
back. 

When the market broke down to 54.00, I placed an
order to sell 57.90 and when we were filled I 
recommended covering at 49.10. The market stalled
a bit before reaching there so I decided to take
profits at 51.60.

I knew there would be other opportunities, but I
decided not to trade any more that day.


I recently co-authored a software program that I
am going to give to all of my subscribers, so 
stay tuned. I will give you the download address
and more information next week. You'll love it.
(It's not a trading program though.)

Yours for success,
Ellery Coleman

The trades referred to in this article are trades that were sent to our Choice Day Trades subscribers as they happened. We have no way to verify whether or not all or any of these trades were taken in real time since we did not take them in our account. Therefore they should all be considered hypothetical.

For questions or comments, call 478-922-9155, or
click here to email me.

*Results may not be typical
Please read our full disclaimer as well